ADP’s secret to reducing turnover: ‘Increasing retention and boosting engagement is about proactivity’

As summer is in full swing, ADP has released new research stating specific worker categories are more prone to summer turnover compared to others.

In fact, turnover rate has been found to increase by 3.56% during the summer compared to 3.14% during non-summer months.

This was found to be particularly prevalent in part-time workers, younger workers, and lower-paid workers, with retail, leisure and hospitality ranking as the industries with the highest turnover.

In an exclusive conversation with Amy Freshman, Senior Director Global HR at ADP, UNLEASH explores more about this increase in turnover, and what HR leaders can do to mitigate risk.

Supporting employees and encouraging growth

Although ADP’s research suggests that turnover is likely to increase during the summer months, there are a number of measures HR leaders can take to identify early warning signs of potential resignations.

From a talent perspective, frequent check-ins are a big priority and suggested to be key.

At ADP, this involved leveraging the company’s talent activation solution called StandOut. This is where team leaders and associates have weekly one-on-one check-ins where priorities and projects are discussed, as well as what associates loved and loathed during the week before.

Freshman explains that the core concept of these check-ins is to identify what work energizes associates and for the leader to try to provide more of that work.

On the other hand, associates can share what work they dislike or what they find laborious, to present opportunities for leaders to recognize and address in their one on ones.

“If an associate continues to record the same loaths and this is not being addressed, that may be an early warning sign for a potential resignation,” Freshman highlights.

Additionally, ADP also conducts “stay interviews” – which are similar to exit interviews, except they have the aim of encouraging employees to share their thoughts to encourage them to stay.

“The idea of engaging with your team members while they are actively employed rather than an exit interview once they’ve already given their intent to leave,” Freshman notes.

We have learned that when this tactic is leveraged, it helps to ensure any potential engagement issues are identified early so the team leader and associate can connect and course correct.”

For employees, this could be in the form of encouraging honesty about what is working and what is not working.

For leaders, bold questions should be asked, such as: Are you happy at work? What keeps you here? Where do you see yourself in the next one, three, five, ten years?

From these, a development plan can then be put in place to ensure they follow a path that encourages them to remain within the business.

Sharing her advice, Freshman adds: “Connect early, often, and consistently. Set up a recurring cadence of touchpoints to connect with each of your team members and as a team to encourage collaboration and team building.

“In terms of meeting substance, ensure these conversations are transparent and honest about what is working and what is not. Also use these meetings to connect with your employees on life outside of work.

“Ask them about their hobbies and their plans for the weekend. Take a genuine interest in the person and ensure your conversations are not always about work.”

She also highlights the importance of taking the time to celebrate and recognize employees, by celebrating both the big and small wins – even doing so company-wide when appropriate.

Finally, be proactive,” she adds. “If you’re looking to connect with your employees now because you’re worried about summer turnover, it’s never too late.

“Increasing retention and boosting engagement is all about proactivity. Get way ahead of the timing of summer turnover by doing those weekly check-ins throughout the year and having productive conversations with your employees far ahead of the summer months.”

Now is the time to create road maps to success

While ensuring employees are following their desired progression path is important, Freshman also highlights the vital role of skills progression.

What’s more, these employees were 3.3 times more likely to describe themselves as highly productive.

ADP Research found when workers who are already confident in their skills believe their employers are investing in them, they’re twice as likely to say they have no intent of leaving their organization compared to workers who have the skills but lack on-the-job training opportunities,” Freshman explains.

She continues to highlight that when surveyed respondents were asked to provide the top reasons as to why they would stay with their employer, flexibility was ranked first, with opportunity for career following close second.

As we gear up to the latter part of the summer months, Freshman states that “being proactive about retention is crucial”.

To do so, she advised that retention should always be a talent priority through frequent check-ins, skills development, and recognition towards fostering a workforce that is engaged, happy, and retained.

“Waiting to prioritize retention until you’re worried employees might be on their way out is not the best approach,” she warns.

“The summer can be an excellent time for team leaders and employees to chart a new course so use this time with your employees to develop a roadmap not only for big work projects, but also for the personal growth of your employees.

“Data shows employees are more engaged, more productive, and more likely to be retained when they feel invested in scheduling those summer check-ins with each of your employees to set them up for future success is a great step to take right now.

“If you’re seeing key risks in turnover, it might be a good idea to begin sourcing for backfill so as not to be left with gaps in talent.”